Commodity Markets Mostly Lower at Midsession

Corn futures are slightly lower at midday. The market is making a technical correction from the gains on Friday. Concern about the spread of bird flu and the negative impacts on feed consumption and quiet exports over the weekend are bearish factors. March is 3/4 of a cent lower at $2.27 and May is 3/4 of a cent lower at $2.38.

Soybean futures are trading lower at midday. Some beneficial rainfall in Argentina overnight will help the crop finish filling pods. Other bearish factors include the spread of bird flu that will hamper soybean meal usage and the weekend setback in gold prices that has eased inflationary concerns. March is 7 1/4 cents lower at $5.70 and May is 7 1/2 lower at $5.82 3/4.

Wheat futures are lower at midesession. The export market remains fairly quiet as the U.S. struggles to compete on the world market. Crop conditions remain poor in the southern Plains, but forecasters are hinting at chances of improved precipitation in March. CBOT Mar is 1 1/2 cents lower at $3.66 3/4, KCBT Mar is 3 3/4 cents lower at $4.30 1/4 and MGE Mar is 4 1/2 cents lower at $4.13 1/2.

Cattle futures are slightly lower at midsession. The market opened lower on reaction to the bearish Cattle on Feed report Friday, but short-covering has helped limited losses. Futures are due for a bounce following recent losses, but buying interest is limited following the large placements in January. April is 13 cents lower at $86.88 and June is 8 cents lower at $82.05.

Lean hog futures are mixed at midday. The discount of April futures to the lean hog index is offering light support to the front end. However, most deferreds are lower as packers were able to push cash bids lower late last week despite firm pork cutout values. April is 13 cents higher at $61.55 and June is 13 cents lower at $67.25.